Don't put your children at risk
Shropshire parents who add their children to their own motor policies are actually committing fraud.
That's the warning from Dave Williams, of Henshalls Insurance Brokers in Newport and Shrewsbury.
"The process is known as 'fronting', and involves parents who insure a vehicle in their own name and claim to be the main driver, despite the fact that the car is used mostly by their son or daughter.
"By claiming their children only drive the vehicle infrequently, the family will secure a reduced car insurance premium for a younger and less experienced driver.
"This obviously saves money, but if the young driver is ever involved in an accident, there could be some nasty shocks if a claim is made."
Dave said in some cases, an accident could uncover the fact that the insurance policy was being "fronted" and could lead to the entire insurance cover being cancelled.
"Not only is it illegal to drive a vehicle in the UK without appropriate insurance, the family could face enormous financial costs if an accident happens.
"And both the policyholder, and the young driver, will run the risk of penalties, fines and even the threat of prosecution."
Dave said despite the potential penalties, figures showed around 35 per cent of drivers thought "fronting" was just a loophole in the law.
"Even though there is so much confusion among drivers about this issue, it's always vital to give accurate information about the main driver to the insurance company.
"Saving money on your insurance premium is not worth the risk of being caught out."
